What Is AUM (Assets Under Management)?
AUM — Assets Under Management — is the total market value of all the money a mutual fund, or an entire fund house (AMC), is managing on behalf of investors. It's a headline measure of size and scale.
What AUM tells you
A large AUM means many investors trust the fund with their money, and it usually signals a well-established scheme. AUM grows from both new investments flowing in and the underlying holdings rising in value, and shrinks on redemptions or market falls.
Why bigger isn't always better
For small- and mid-cap funds especially, a very large AUM can become a handicap: it's hard to deploy huge sums into smaller, less liquid stocks without moving the price, which can drag on returns. Large-cap funds handle size more easily.
AUM and holdings
A scheme's holdings are reported as a percentage of its AUM each month — so you can see exactly how a fund's assets are deployed across stocks. See the fund-holdings guide, and the breadth of houses we cover on the coverage page.